Motilal Oswal Financial Services has identified a selection of top stock picks, focusing on companies that demonstrate strong operational efficiency and the ability to branch into new revenue streams. The brokerage points to a healthy outlook for domestic demand, even as certain sectors deal with temporary pricing hurdles.
According to the report, the preferred plays include a dominant digital broking platform and established energy firms set to gain from upcoming regulatory changes and a long-term move toward natural gas.
Motilal Oswal on Billionbrains Garage Ventures (Groww): ‘Buy’
Motilal Oswal initiated coverage on this newly listed capital markets play. The brokerage has set a price target of Rs 185 for the stock. This target indicates a potential upside of 19% from current levels.
Motilal Oswal noted that Billionbrains Garage Ventures, known popularly as Groww, has climbed to the top spot as India’s largest retail broking platform by active NSE clients within only four years. What began as a platform for mutual funds has turned into a broad investment system covering stocks, commodities, and wealth management.
The analysts expect the company to increase its earnings by tapping into its current user base and adding new services like credit products and margin trade funding. Because about 80% of its customers come through word-of-mouth or organic searches, the company keeps its costs low. Motilal Oswal predicts that as the firm builds out its credit and wealth arms, its EBITDA margins could climb to roughly 66% by the 2028 fiscal year.
Motilal Oswal on GAIL: ‘Buy’
The report maintained a price target of Rs 215 for GAIL This suggests an upside of approximately 23% from the current share price of GAIL.
The investment rationale for GAIL (India) Ltd. rests on a drop in its market value to historical averages, paired with a positive outlook for cash flow and dividends. Motilal Oswal identifies the upcoming transmission tariff update in early 2026 as a major growth engine, predicting it will lift profits by about 7% in the following year. The brokerage expects gas volumes to pick up as last year’s technical issues fade and demand from the fertiliser and power sectors returns. Analysts also believe that potential government moves to simplify gas taxes would provide a long-term advantage. While the 2026 fiscal year might see some one-off complications, the brokerage views the overall path for volume growth as reliable.
Motilal Oswal on Mahanagar Gas: ‘Buy’
Motilal Oswal issued a price target of Rs 1,700 for this stock. This represents an upside of nearly 49% from the current market price.
Analysts at the brokerage expect Mahanagar Gas to see an 11% annual growth in volume through 2028, largely because of more CNG vehicles hitting the road in its core markets. While high global gas prices are putting pressure on margins right now, Motilal Oswal argues that the stock price already accounts for these difficulties. The firm values the company at 15 times its estimated earnings for late 2027, noting that the current trading price is quite low compared to future earnings projections. Despite price swings in the global market, the company has managed to keep its margins steady. With expected tax changes and a general increase in demand for cleaner fuel, the brokerage considers this a top choice in the gas distribution space.
Motilal Oswal’s investment rationale
The latest recommendations from Motilal Oswal Financial Services focus on companies that can maintain high margins while expanding their business models. In the financial sector, the brokerage initiated coverage on a key digital play. In the energy space, the focus remains on infrastructure and utility companies that stand to benefit from new government pricing rules and the steady transition to natural gas across India. The analysts maintain that the broader economic environment remains supportive of growth.
Disclaimer: This article provides factual analysis only and is not, and should not be construed as, an offer, solicitation, or recommendation to buy or sell securities. Investors must conduct their own independent due diligence and seek advice from a SEBI-registered financial advisor.